Financial conditions are sufficiently tight?

 


In Powell’s assessment financial conditions are sufficiently tight that, over time, inflation will get back on a path to the Fed’s 2% target.

The thing is, most gauges of financial conditions show a notable easing since last autumn. 

That’s thanks in large part to a soaring stock market that’s sent indexes to record highs, along with rallies in corporate bonds that have sent premiums to historically cheap levels.

Chris Anstey and Enda Curran  Bloomberg 31 maj 2024 

https://www.bloomberg.com/news/newsletters/2024-05-31/global-economy-latest-us-financial-conditions


Desperately Seeking Restrictive

https://englundmacro.blogspot.com/2024/02/desperately-seeking-restrictive.html






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